Investment Pattern

The Sovereign Fund of Egypt's investment approach is unparalleled in its distinctiveness, focused on developing high-potential local sectors to encourage private sector participation.

To cover a broader range of investments, TSFE's strategy relies on a multi-sectoral approach through affiliate Subfunds and companies.

These Subfunds, led by industry professionals, contain dedicated governance, legal structures, and investment processes. They are the value-creating pillars that unveil significant opportunity and bring exceptional transformation.

TSFE aims to:

Deliver sustainable financial returns over the long-term through a balanced and diversified portfolio constructed to optimize risk/return profiles across the portfolio. Along with financial objectives, TSFE will look to deliver socioeconomic impact through all investments.

Catalyze investment in local priority sectors from a diversified set of local, regional, and international investors and operators, through these products, and to unlock wealth through operational improvement, greenfield, and brownfield development.

Proactively identify and prioritize assets with the greatest potential for value creation through private ownership and capital, as well as collaborate with investors and operators to create investment structures to meet their investment demand and criteria.

Fulfill its mandate by leveraging its access to a unique portfolio of opportunities in Egypt, with an aim to turn its local champions into regional and global players. Over the long-term, TSFE will explore commercial investment opportunities abroad.

Investing Sustainably

ESG Principles:

  • TSFE's ESG Framework incorporates ESG considerations into its strategy, governance, investment criteria and risk management.
  • The Framework aligns TSFE's and its sub-funds' sectoral approaches with the national ESG laws and regulations
  • TSFE's ESG framework maps to IFC's and EBRD’s ESG standards and benchmarks
  • TSFE aims to use its ESG Framework as an ESG score-enhancing tool to motivate partners to enhance their ESG performance by cooperating with TSFE

Alignment with SDGs:

  • TSFE’s investment portfolio is built around UN SDGs and Egypt’s 2030 vision (please refer to Our Portfolio for more information on how each investment fulfills different development goals)
  • TSFE’s multi-sector investment strategy and sub-funds focus on sectors that are vital to economic growth (please refer to Multi-Sector Strategy ), these sectors collectively represent more than 60% of Egypt’s GDP